Wisconsin High Court Affirms County Nurses' Pension Cuts

CHICAGO - The Wisconsin Supreme Court overturned a lower court ruling and upheld Milwaukee County's 2010 cuts to nurses' pension benefits.

The state's high court Dec. 19 handed down a five to two decision reversing rulings at the district court and appellate court levels.

Plaintiff Suzanne Stoker and the nurses' union had argued that pension benefits approved by the county board in 2000 represented a vested property right that could not be reversed even through the collective bargaining process.

The court's opinion read: "We conclude that the Legislature preserved Stoker's rights and benefits already accrued but also gave Milwaukee County home rule authority with the flexibility to enact such prospective only changes."

The change being challenged involved a reduction the pension multiplier to 1.6 from 2 used to calculate benefits beginning in 2012. The lower courts sided with the nurses saying the benefit at the higher multiplier rate was a vested right that could not be diminished by future legislation without consent.

The county and pension board successfully argued before the Wisconsin Supreme Court that the change did not violate state law as it didn't apply to already accrued benefits and the nurses union had signed off on the change.

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